Starting a Business in Kentucky: Licenses, Registrations & Checklist

Kentucky start-up checklist

Register for state taxes with Kentucky Department of Revenue. Official page
Business-level tax: Corporation income tax and Limited Liability Entity Tax (LLET).
Sales tax: get a Kentucky sales and use tax permit from Kentucky Department of Revenue before you sell taxable goods. Official page
Remote sellers must register once sales into the state pass $100,000 a year.
There are no local sales taxes.
If you have employees, withhold Kentucky income tax from wages and register for withholding. Official page

Register for unemployment insurance with Kentucky Office of Unemployment Insurance. The 2026 taxable wage base is $12,000 per employee; experience-rated rates run from 0.3% to 9%. Official page
New employers start at 2.7%.
Workers' compensation through Kentucky Department of Workers' Claims and private insurers. Required when: 1 employee
Post the required labor notices at your workplace. Official page

(LLCs, corporations and nonprofits): every year by June 30; fee $15.
State tax returns and payments (sales, withholding, unemployment) follow the schedule your agency assigns when you register.

Business filings and annual reports: Kentucky Secretary of State. Official page
Taxes: Kentucky Department of Revenue. Official page
Unemployment insurance and labor rules: Kentucky Office of Unemployment Insurance. Official page
Workers' compensation: Kentucky Department of Workers' Claims.
Real estate licensing: Kentucky Real Estate Commission.
Alcohol licensing: Kentucky Department of Alcoholic Beverage Control.
Child care licensing: Kentucky Cabinet for Health and Family Services.
Health facility licensing: Kentucky Office of Inspector General.

City/county occupational license (City or county occupational tax office): Local governments levy occupational license taxes on net profits and payroll.
Cannabis: medical licensing only, regulated by Kentucky Office of Medical Cannabis (Cabinet for Health and Family Services).

Checked against official sources on October 13, 2026. Rules change; confirm each item with its agency.

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